Answer and Explanation: The calculated value of the time required to triple the money is 22.517 years.
It would take 14.4 years to double your money. Applying the rule of 72, the number of years to double your money is 72 divided by the annual interest rate in percentage. In this question, the annual percentage rate is 5%, thus the number of years to double your money is: 72 / 5 = 14.4.
Answer and Explanation:
At 10% interest, an investment will triple in 11.5 years.
Rule of 115: If 115 is divided by an interest rate, the result is the approximate number of years needed to triple an investment. For example, at a 1% rate of return, an investment will triple in approximately 115 years; at a 10% rate of return it will take only 11.5 years, etc.
Hence, 18 years 10 months long it will take you triple your money if you invest it at a rate 6% compounded annually.
Question: How long will it take for $ 10,000, invested at 5% per year, compounded continuously, to triple in value? (Answer: 21.97 years) There are 2 steps to solve this one. Who are the experts? Experts have been vetted by Chegg as specialists in this subject.
The time it will take to triple $10,000 at 5% per year, compounded continuously, would be 21.972 years.
The formula to determine the Rule of 114 is, to divide 114 by the interest rate equal to the number of years it will take to triple your money. For instance, if you deploy Rs 1,00,000 into an investment with a 12% annual expected return, then the time to triple is 114/12, or 9.5 years.
Rule of 114
To know how much time will it take for your money to triple in post office FD, you will have to use the formula 114/7.5. After calculation, the answer will be 15.2, i.e., according to 7.5 per cent interest rate, your invested money will triple in 15 years and 2 months.
Answer and Explanation:
The investment will take 14.27 years to triple at 8% interest rate.
Hence, if a two-year savings account containing $1,000 pays a 6% interest rate compounded daily, it will grow to $1,127.49 at the end of two years.
A sum of $50,000 in cash can earn about $195 a year in an average bank savings account or as much as $2,300 if you put it into a high-quality corporate bond fund.
So, if the interest rate is 6%, you would divide 72 by 6 to get 12. This means that the investment will take about 12 years to double with a 6% fixed annual interest rate. This calculator flips the 72 rule and shows what interest rate you would need to double your investment in a set number of years.
a. To find out how long it takes to double your money at 5.3 percent interest, you can use the Rule of 72. The Rule of 72 states that you can divide 72 by the interest rate to get an approximate number of years it takes to double your investment. So, 72 divided by 5.3 equals approximately 13.58 years.
For example, if an investment scheme promises an 8% annual compounded rate of return, it will take approximately nine years (72 / 8 = 9) to double the invested money. Note that a compound annual return of 8% is plugged into this equation as 8, and not 0.08, giving a result of nine years (and not 900).
Answer and Explanation:
The calculated value of the time required to triple the money is 22.517 years.
The rules of 72 and 115 provide a quick way of seeing the value and speed of compounding. These are short cuts to determine how long it takes compounded money to double and triple. To calculate how long it takes money to double, divide the interest rate into 72. To see how long money triples, divide it into 115.
It dates back to 1943 and states that commissions, markups, and markdowns of more than 5% are prohibited on standard trades, including over-the-counter and stock exchange listings, cash sales, and riskless transactions. Financial Industry Regulatory Authority (FINRA).
Detailed Solution. Given: The sum of money triples itself. ∴ The number of years by which a sum will triple itself at 5% p.a is 40 years.
Answer and Explanation:
Hence, it will take 12.75 years to triple your money at a 9% interest rate.
11.61%. Let the initial Investment amount be $100. So, in 10 years it will be triple and will be $300.
Answer and Explanation:
The future value of the investment is $12,968.71. It is the accumulated value of investing $5,000 for 10 years at a rate of 10% compound interest.
The total amount of $15,000 at 15% compounded annually for 5 years will be $30,170.36 so option (B) is correct.
Thus, it will take 14.21 years for the money to double.